Cynda(603086)2022-04-25 16:00Financial Performance - The company's operating revenue for 2021 was CNY 2,202,538,106.69, representing a 16.19% increase compared to CNY 1,895,595,666.25 in 2020[19]. - The net profit attributable to shareholders of the listed company was CNY 177,380,335.82, a slight increase of 0.76% from CNY 176,034,335.10 in the previous year[19]. - The net profit attributable to shareholders after deducting non-recurring gains and losses decreased by 8.66% to CNY 150,648,746.13 from CNY 164,940,201.50 in 2020[19]. - The net cash flow from operating activities was CNY 224,108,606.00, down 37.99% from CNY 361,385,546.72 in 2020[19]. - The total assets at the end of 2021 were CNY 2,725,106,027.36, an increase of 16.71% from CNY 2,335,002,206.40 at the end of 2020[19]. - The net assets attributable to shareholders of the listed company increased by 7.87% to CNY 1,837,878,062.69 from CNY 1,703,781,974.56 in 2020[19]. - The company's asset-liability ratio stood at 32.56%[25]. - Operating costs increased to CNY 1,701,380,763.24, reflecting a year-on-year rise of 24.34% due to higher sales volume and raw material prices[37]. - The gross profit margin for the main business decreased by 5.08 percentage points to 22.70%[40]. - Domestic sales revenue was CNY 807,129,049.04, with a decrease in gross margin by 12.51 percentage points to 16.77%[40]. Dividends and Profit Distribution - The company plans to distribute a cash dividend of CNY 2.50 per 10 shares, totaling CNY 55,471,500, with a cash dividend payout ratio of 31.27%[3]. - The company distributed cash dividends of 3.50 RMB per 10 shares, totaling 55.47 million RMB[20]. - The company implements a stable profit distribution policy, prioritizing cash dividends, with a minimum annual cash distribution of 10% of the net profit attributable to shareholders[135]. - The cumulative distributable profit of the company is positive, and the company has no major investment plans or significant cash expenditures exceeding 30% of the latest audited net assets within the next twelve months[135]. - The company aims to distribute at least 30% of the average distributable profit over three consecutive years in cash dividends, provided there are no unremedied losses from previous years[136]. - The company has a cash dividend policy that allows for mid-term distributions based on the company's profitability and funding needs[135]. Research and Development - Research and development expenses amounted to CNY 98,060,123.52, up by 2.18% from the previous year[37]. - The company employed 187 R&D personnel, representing 10.75% of the total workforce[48]. - The company has established partnerships with universities for collaborative research on new compound development, enhancing its technological innovation capabilities[67]. - The company is focusing on high-end formulation registration and overseas market development, achieving significant benefits in 2021[28]. - The company is advancing the registration of innovative compounds domestically and expanding its overseas market registration efforts, targeting Southeast Asia, Central America, and Latin America[102]. Production and Capacity - The company expanded production capacity with the successful trial production of two major raw material workshops, increasing annual production capacity by 5,000 tons[25]. - The company's production capacity for acetochlor is 3,000 tons annually, with an additional 5,000 tons in trial production, further consolidating its market position[34]. - The company's herbicide production capacity is designed at 13,500 tons with a utilization rate of 69.31%[73]. - The fungicide production capacity is designed at 2,500 tons with a utilization rate of 100.32% and an additional 5,000 tons under construction expected to be completed by June 2022[73]. Environmental Compliance - The company maintained compliance with environmental regulations, with wastewater and air emissions meeting the required standards[149][150]. - The total annual COD discharge was 3.827 tons, with a concentration of 97.10 mg/L, well within the permitted limits[149]. - The company has implemented various environmental protection facilities, including RTO thermal oxidation systems and wastewater treatment technologies, which are operating normally[157]. - The company emphasizes strict safety management and has enhanced training and emergency response capabilities to improve risk control in production safety[165]. Corporate Governance - The company maintained strict compliance with the Company Law and relevant regulations, ensuring no guarantees were provided to controlling shareholders or their affiliates[107]. - The company has implemented measures to maintain independence from its controlling shareholders in terms of assets, personnel, finance, and operations[107]. - The company’s independent directors have not reported any conflicts of interest or significant changes in competitive conditions affecting the company[108]. - The company has successfully completed the election of its fourth board of directors and supervisory board during the annual general meeting[108]. Market Position and Strategy - The company is a leading player in the selective herbicide segment, focusing on technological innovation in herbicide varieties and application techniques, with major products ranking among the top in domestic production capacity[61]. - The company is actively pursuing the development of environmentally friendly pesticides in response to increasing demand for green products and stricter regulations[30]. - The company aims to enhance its domestic market product innovation and reduce reliance on foreign markets, aiming to develop high-value products and increase domestic marketing efforts[89]. Risk Management - The company faces market competition risks due to increased product input from international pesticide giants and domestic competitors, which may lead to price declines and reduced profit margins[103]. - The company is exposed to raw material price volatility risks, primarily influenced by international oil prices and market supply-demand dynamics, which could impact operational performance[103]. - The company has implemented a performance evaluation system reform to enhance management quality and incentivize productivity through clear metrics and accountability[99].